Massachusetts "Tech Tax" Payment and Reporting Due Dates Deferred

In light of last week’s news that Massachusetts lawmakers intend to retroactively repeal the controversial “tech tax” (click here), the Massachusetts Department of Revenue (“MDOR”) yesterday announced that it is deferring the September 20 due date with respect to the initial payment and reporting of taxes under this new law.

The “tech tax,” an extension of the 6.25 percent Massachusetts sales and use tax to certain types of previously untaxed computer and software services, became effective on July 31, 2013 (click here). The original and new due dates for the payment and reporting to the MDOR of “tech tax” amounts attributable to taxable transactions occurring between July 31 and September 30, 2013 are as follows:

Taxable Transaction Dates Old Due Date New Due Date
July 31, 2013 September 20, 2013 October 20, 2013
August 2013 September 20, 2013 October 20, 2013
September 2013 October 20, 2013 October 20, 2013

If the “tech tax” is retroactively repealed, the MDOR will issue further guidance regarding procedures for vendors to (A) issue refunds to customers of already collected “tech taxes” and (B) apply for abatements of “tech taxes” previously remitted to the MDOR.

Affected vendors should note that the due date deferral is limited to the “tech tax.” Accordingly, Massachusetts sales and use tax returns and payments relating to any other taxable transactions occurring in August 2013 are still due on September 20, 2013.

We plan to issue additional updates to inform you of any further significant developments relating to the “tech tax.”


Written by:

Published In:


DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Foley Hoag LLP | Attorney Advertising

Don't miss a thing! Build a custom news brief:

Read fresh new writing on compliance, cybersecurity, Dodd-Frank, whistleblowers, social media, hiring & firing, patent reform, the NLRB, Obamacare, the SEC…

…or whatever matters the most to you. Follow authors, firms, and topics on JD Supra.

Create your news brief now - it's free and easy »

All the intelligence you need, in one easy email:

Great! Your first step to building an email digest of JD Supra authors and topics. Log in with LinkedIn so we can start sending your digest...

Sign up for your custom alerts now, using LinkedIn ›

* With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name.